Commercial Vehicles sales for 2005 have been phenomenal with overall sales of 27 413 units, which is a growth of 31.8% over 2004. “We are extremely pleased with these sales, even though it was not unexpected,” said Johan Cloete, Divisional Manager, Freightliner/Fuso and Western Star ranges of DaimlerChrysler South Africa (DCSA).

“We believe, the reason for this growth is that the economy is strong. The Government is managing the economic government expenditure and the Rand exchange rate in a very responsible manner,” said Cloete. “It has taken some time to get to this favourable position. The positive economic conditions and other contributing factors played a significant role in the growth of a strong middle class. The expenditure of this new middle class has also had a positive influence in the transport industry,” added Cloete.

“We are pleased to see growth in all segments of the market with an overall market. In the extra-heavy segment there has been a 19,3% increase, the heavies a 39,1%, and the mediums show a 41.8% increase over 2004. We will continue to see this positive trend in 2006, but not at an accelerated rate. We expect to see a 10 – 11% growth on 2005, bringing the total truck market to approximately 30 000 units, making the transport industry a viable market for a number of competitors,” said Cloete.

Major factors behind the division’s healthy development include a rigorously implemented programme of efficiency enhancing measures as well as the introduction of new and attractive products. “Even though market conditions were highly competitive, sales in 2005 far exceeded all our expectations,” said Johan Cloete, Divisional Manager, Freightliner/Mitsubishi Fuso and Western Star.

Freightliner sales totaled 689 units, a 86,4% increase of 2004, giving a 7,7% market share of the extra-heavy segment and a 45,1% of the American XHCV market. “The visibility of Freightliners on roads in southern Africa over the last 18 months has improved tremendously. This combination is of a drive that has been brought about by ‘Smartshift’, which has produced a package that is becoming very attractive for long-distance operators,” added Cloete.

“Mitsubishi Fuso has been on target with 2005 year-end sales of 775, even though we do not have a full comprehensive range that really does the name Mitsubishi Fuso proud. We are currently in the process of rolling out a complete product range,” said Cloete.

“There is room for improvement and we have identified the areas that need a dedicated focused approach, to enable us to deliver on the promise of the brand. Most importantly, we need to strengthen the sense of trust and commitment among our customers and dealers,” said Cloete.

The Mitsubishi Fuso products are reliable and performance is excellent, with superior world-class engineering capabilities.

DaimlerChrysler AG owns 85% of MFTBC (Mitsubishi Fuso Truck and Bus Company) shares. The remaining 15% of shares are held by various Mitsubishi group companies. Mitsubishi Fuso is an integral part of DaimlerChrysler’s Commercial Vehicles Division.

Western Star has established itself in the specialised field of the market; Recovery vehicles for heavy loads and abnormal haulers in the mining industry. Customer expectations are being met and the vehicles are performing exceptionally well, proving to be extremely efficient, reliable and easy to maintain.

The dealer network strategy is taking shape and several dealers around the country are fully geared to service and maintain both the Freightliner and Mitsubishi Fuso brands. Currently there is improvement on expanding the sales franchise with nine more sales outlets in the major market centres, together with the already extended service network, this should improve the accessibility for the customer for parts, service and maintenance.